The Effects of the Moderator of Social Skills on Changing between Managerial Skills and the SME Performance

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Somphet Thongsennheuang
Phusit Wonglorsaichon

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Purpose – This study aims to study the effect of moderator of social skills on a change between managerial skills and the performance of small and medium enterprises.

Research methodology –
Descriptive statistic study was used in this study and model (SEM) was used to examine the postulated hypothesis (research questions). The research was conducted among the entrepreneurs by focusing on the characteristics of particular SME entrepreneurs’ specific skills in Thailand. A total 400 usable responses by the subjects were received. The analysis was done by using the structural equation model.

Findings –
This study found that managerial skills had the positive direct effect on the SME performance which consisted of cost reduction, customer growth and sale growth at 5.89, 13.32 and 16.25 respectively. The social skills had an effect on the change between managerial skills and SME performance. Finally, the leadership skills were the most important skill with the highest influence on SME performance at 0.84.

Conclusion and Recommendation –
The result of this study would recommend that entrepreneurs prepare themselves before they start up their new business. According to the business developing stage, they should improve managerial skills and social skills by taking an entrepreneurship course or attending a leadership camp. They would learn how to develop entrepreneurial skills that are related to their business in order to increase their SME performance and enhance their competitiveness and capability towards global markets.

Originality/value -
This paper introduces a practical model of moderator of social skills affecting changing between managerial skills and the performance of Thai SMEs.

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